FuboTV shares have jumped about 340% year to date, pushing its market capitalization to nearly $6 billion, according to Factset, despite expectations the company would lose money in its current quarter with full-year revenue estimates at under $250 million.
“I don’t think it’s unreasonable for us to think about that [sports partnerships] going forward,” fuboTV CEO David Gandler told Axios on the Voices of Wall Street podcast.
FuboTV went public earlier this year, trading under the ticker FUBO. Shares were up 25.22% to $49.16 in trading Monday..
The company, a TV streaming platform focusing on sports, has a range of offerings but could get into the lucrative live television sector which is dominated by legacy broadcast networks willing to pay a premium for live sports.
ESPN, for example, pays nearly $2 billion each season for the rights to broadcast the NFL’s Monday Night Football game. Fox pays about $1.2 billion per season, while NBC and CBS pay $1.1 billion and $1 billion, respectively, for broadcast rights.
FuboTV shares jumped last week after analysts at Wedbush initiated coverage on the stock with an outperform rating and $40 price target.
Last month, the company jumped after reporting that third-quarter revenue rose 47% to $61.2 million, higher than analysts’ forecasts of $54.3 million. Subscription revenue rose 64% to $53.4 million and advertising revenue well more than doubled to $7.5 million.